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This will be the next big trend in Indian eCommerce industry mergers

and accquisitions of over crowded industry, The shift has happened


from Valuation. Valuation is the new boom
FMCG
Fastest growing FMCG in India Patanjali
Why does it work
Low cost
Zero spend in advertising
Baba Ramdevs fandom. Attracting a market which is not closely
monitored by FMCG giants like HUL and ITC Buddhas and rural
market.Solid online presence sells goods through e-commerce
Food products 43 percent
Personal care 22 percent
Fabric care 12 percent
Rural areas showing better growth than Urban areas
With rise in disposable incomes, mid- and high-income consumers in urban areas have shifted
their purchasing trend from essential to premium products. In response, firms have started
enhancing their premium products portfolio. Indian and multinational FMCG players are
leveraging India as a strategic sourcing hub for cost-competitive product development and
manufacturing to cater to international markets.
Why young markets are important 18-24 year people focus more on the peer review and online
review than other age groups
Mobile marketing contribution by fmcg companies the highest
http://retail.economictimes.indiatimes.com/news/industry/research-roundup-retailrealities/48141445 - for explaining the retail portion in your work
Big shopping centers have high bargaining power nowadays due to the decreasing space.of
unorganized retail

Distribution growth, innovations around sachet offerings, employment rates and index of
industrial production (IIP) are key influencers of FMCG sales in India.

Sachet offerings very important

Proper positioning will also ensure that cannibalization of product doesnt matter. For e.g
Loreal and Garnier positioning

Different hair care techniques for the upper market and the lower market

The FMCG sales have also gone down .- Low distribution growth. Has been found also in
the competitions.

No new product innovations in Shampoo. When I conducted a research in college we


found that most of the students dont shampoo regularly.

Low GRP has also affected sales

Cavin Kare launched Sachet chik shampoos in 2015

Zydus Wellness (Sugar Free , Nutralite and everyuth)

This is were the FMCG company should save for Price Sensitive goods

Counterfeit products are a problem P&G has found out that Vicks vaporub duplicate has
raked in sales equal to 54 %

Delhi Government made it mandatory for all e-commerce


companies to file their transaction details on the website of the
Department of Trade And Taxes while paying tax, after cases of tax
evasion by some firms were spotted.

Trends of this world today there are more mobiles than the no of
people in the planet- Digitization, Trends sshifting from west to the
east,Changing relationship between people and planet

NASA scientists today say that your cell phone has more power
than the computers used in Digital Era

Every small decision you take the impact is seen amonfst 2 billion people

Youth being the center of the decision making

Consumer confidence index is on a 5 year high at 130.n

The Net Promoter Score, itself, is calculated based on responses to a single


question: How likely is it that you would recommend our company/product/service to a
friend or colleague?

Seller NPS is useless because sellers wont want their friends and colleagues to join them
and compete

Correlation between NPS and Market Share

unless you have the intent, bandwidth and resources to do the deepdives and follow-ups, measuring NPS in isolation will just tell you if
youre doing well or not, but not why or how to improve. And that, to my
mind, is a complete waste.

The basic approach of positioning is not to create something new and


different, but to manipulate whats already in the mind, to retie the
connections that already exist

Nowadays luxury brands are trying to appeal to the youth.Because


youth are the ones who spend the maximum interaction time on mobiles
and as we know the youth prefer cheap products. Then luxury brands
have to diversify their range of products.

Luxury brands normally try to fulfil the aspirational needs of the people.
Exclusivity or dilution is their primary concern

Most difficult is to target THE MASSTIGE

The biggest disruptor in the retail Industry


MOBILE TECHNOLOGY
The FMCG sector is more dependent on unorganized retail .More focus on Digital
currency,Comparision of products available. Now they are youth oriented. But this will become a
norm.
PWC s research has changed their approach to decision making using BIG DATA and Analytics
4 influencers
Vulnerable supply chain
Mobile marketing
Changing customer data

Difficulty in collecting data unorganized retail,organizational Silos


In this age according to PWCs top survey the main concern is regarding cost margins and then
profitability globally while 67% of the indian ceos believe that they want profitability. Focus on
online presence is also more in India when compared globally. Same with exposure to high
growth markets
Indian FMCG market is more concerned about evaluating the outcome of the decision.They want
to use analytics

Current Indian Trends in The FMCG sector Shoppurtinity - Reminded - 29%, Impulse - 12%, CPlan Category.. Many indian
shoppers dont relate their pre-purchase want to the thing they actually buy.This
puts more emphasis on the store design and visbility
Channel - 75% sales through Grocery, Then Chemists-fastest(promotes in-store
brand) growing sellers Modern Trade- Big Bazaar Shoppers stop, Cash n Curry for
wholesalers, SPPs for baby oye and all
In store brands are stores which only have those brands
Democratisation of premiumisation
2 in 5 customers look for premium products. The challenge lies in
making the luxury products available for evry one without dilution.
Newism
The rising growth of nuclear families are actually making consumer
decisions independent of in laws views and all. It Is like Social Media is
the new influencer
The channel is used as a laboratory for innovation better.Cooling
medium, as we see yoghurt and all coming to the retailers and retilers
storing it
Compact dongle like sd card, Shampoo to suit water type ,
Naturally cooling ingredients to keep soft drinks cold. Innovations
should be outside in. Not the other way around
Health & Wellness product:
Today around 50% of the consumers are covered with Health Insurance
compared to 25% in the last year. Healthy products are coming out on
top like Saffola Oats and stuff
Rise of Private labels

Private labels include Big Bazaar Reliance Mart etc are marketing their
own brand
Exploding expressions
AUTONOMY EVAPORATION although we are independent a lot of
buying decisions are dependant on digital media
The cost center
The cost center has moved towards children with parents trying to
satisfy the needs of children more
Time impoverished
Initially consumers used to spend time to save money. Now the current
trade is to spend money to save time.Shelves that are organized based
on shopper needs and bundling that respects customers time will help
win in-market
Convenience FMCG products are growing at a fast rate
Deals & Thrills
Data is important because it will help in determining where and how to
give deals. Brands that create smart deals will get shoppers to buy
more
.FMCG products are becoming giftproducts
Leveraging all the consumer trends in store will be very important

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